AM Best revises Westfield Insurance Company outlook from negative to stable

By David Bull

March 5 - (The Insurer) - AM Best has revised its outlook on the A financial strength and “a-plus” long-term issuer credit ratings of Westfield Insurance Company from negative to stable to reflect improved 2024 operating results as well as the carrier’s projected financials.

In a statement, AM Best said that Westfield’s combined ratio improved to sub-100% for 2024, driven by pricing actions and revisions to the terms of policies, as well as a strategic rebalancing of growth toward more profitable lines, including in the surplus lines market.

Westfield is the parent of Jack Kuhn-led Westfield Specialty, which has been growing since its launch with a focus on specialty and E&S business.

In the statement, the rating agency added that the return to positive net income in 2024 was supported by strong investment results and improvement in Westfield’s net underwriting results despite higher-than-expected catastrophe losses from convective storms and two hurricanes.

It continued by stating that the company’s risk-adjusted capitalisation remains at the strongest level under its BCAR framework and said that improvement in operating performance led to surplus growth last year following several years of decline.